Brazil: Ministry of Development, Industry, Commerce, and Services opened consultation on tax exemption and sustainability criteria in special taxation regime for data centre services (Redata)

On 26 September 2025, the Ministry of Development, Industry, Commerce, and Services (MDIC) opened a public consultation, until 26 October 2025, to define the list of data centre equipment eligible for the Special Taxation Regime for Data Centre Services (Redata), established by Provisional Measure No. 1,318 of 17 September 2025. The consultation invites contributions on technical specifications of hardware, software, and infrastructure equipment to be included in the exemption list, as well as on environmental sustainability criteria such as energy and water efficiency, renewable or clean energy usage, and other environmental practices required for eligibility. Redata forms part of the National Data Centre Policy (PNDC) under the New Industry Brazil (NIB), Mission 4 (Digital Transformation), linking tax incentives to research and development commitments, domestic market allocation requirements, and regional decentralisation measures that reduce counterparts for investments in the North, Northeast, and Central-West regions.